How do you finance a buy-to-let investment in France when you live in Switzerland? Is it a good idea in 2025?

The dream of a profitable foothold in France: myth or reality for the Swiss?

Picture this: as a Swiss executive or self-employed professional, you are considering buying a flat in Lyon or a house in Bordeaux to let out and generate additional income. But is that still a sound strategy in 2025? And how do you finance such a project from Switzerland?

Why invest in French property in 2025?

Attractive prices compared with Switzerland

In 2025, the French property market offers interesting opportunities. Prices per square metre in cities such as Nantes, Toulouse and Montpellier remain affordable, often between EUR 3'000 and EUR 4'500, well below the levels seen in Geneva or Zurich.

Sustained rental demand

Rental demand in France remains strong, particularly in the large urban areas and university towns. Cities such as Rennes, Angers and Strasbourg show average gross rental yields of around 5% to 6%, offering attractive returns for investors

What financing options are there from Switzerland?

Borrowing from a Swiss bank

Some Swiss banks offer mortgages for buying property in France. These loans can be denominated in Swiss francs (CHF) or in euros (EUR), depending on the currency of your income. The conditions are similar to those for loans in Switzerland, with a personal contribution of at least 30% generally required.

Borrowing from a French bank

It is also possible to obtain a property loan from a French bank. As a non-resident, however, the conditions can be stricter: a personal contribution of 20% to 30% is often required, and interest rates may be slightly higher.

Traps to avoid

Overlooking tax

A buy-to-let investment in France carries tax obligations, both in France and in Switzerland. It is essential to look into the tax treaties between the two countries in order to avoid double taxation.

Underestimating the additional costs

Beyond the purchase price, you need to allow for notary fees (around 7% to 8% of the property price), service charges, land taxes and any renovation work.

Conclusion

Investing in French rental property from Switzerland remains a sound strategy in 2025, provided the project is well prepared. We recommend consulting a wealth management adviser to build a strategy suited to your personal and tax situation.